‘There’s a BUZZ about India in US’

FRANKLIN L. LAVIN: Yes. It is still two months away. The temper is reasonably high. We are getting very good response from corporate America for the trade delegation. It looks like the largest-ever business delegation to India. We would have some preliminary number next week, but I think it will number at least over a hundred. There is great enthusiasm here. There is a buzz about India in the US.

What would be the main focus of this trade mission?

We are trying to make this mission as wide as possible. We think India is an important market. We know that there are some areas which are getting some stronger responses. A number of companies are interested in constructing power plants, including nuclear power. A large number of pharmaceutical companies are also interested.

Is there some kind of framework being developed for trade in the civilian nuclear front?

Yes, this is part of it as we get India as part of the global regulatory regime. It is in India’s best interest to have the countries of the world compete with each other on the civilian nuclear power front. India is in a very privileged position.

What is your view on six Indian states imposing partial or full ban on sale of Pepsi and Coke…

Here we are really beating the drum, saying that let us have a look at India. It is unfortunate if someone in India is beating the drum saying that look do not have a look at us. That would not be helpful. So I am little bit concerned. I would only say to them, please do not make our jobs difficult.

What impact it is going to have on the overall trade relationship between the two countries?

I think, if it is resolved quickly then it will have no lasting impact. There is a lot of indication that the issue is being solved on a scientific basis.

Generally, where are trade relations placed?

The rate of growth of trade between the two countries is really impressive. It nearly doubled between 2002 and 2005. We now need to keep this number growing in the same pattern. But there is an important policy dimension as well.

The reason why trade has blossomed is because India is carrying out a series of economic reforms for more than a decade now. India continues to be on the track of business environment and pro-growth policies. It is important that India keeps up its pro-growth policies going.

There are only four jurisdictions in the world where we are having commercial dialogue going on at the Under Secretary level—EU, NATO, China and India. This is a very strong statement. I do not think that ten years ago anybody in Washington or India would have made such a strong statement.

What are the areas where you would expect more reforms?

There are a number of areas. We are looking at the financial sector, also the retail distribution sector, satellite broadcasting. There are a wide range of commercial issues. Data exclusivity is one area where pharmaceutical companies are a little bit concerned while doing their businesses in India. But the growth rate is very positive between the two countries.